Home > Comparison > Technology > FTNT vs RBRK
The strategic rivalry between Fortinet, Inc. and Rubrik, Inc. defines the cybersecurity infrastructure sector’s evolution. Fortinet operates as an established, capital-intensive pioneer with broad, integrated security hardware and software. Rubrik focuses on high-margin, cloud-centric data protection and cyber recovery solutions. This analysis pits Fortinet’s scale and legacy against Rubrik’s innovation and agility to identify which offers the superior risk-adjusted return for diversified portfolios in today’s dynamic tech landscape.
Table of contents
Companies Overview
Fortinet and Rubrik stand as key players shaping the cybersecurity and data protection landscape in 2026.
Fortinet, Inc.: Cybersecurity Infrastructure Powerhouse
Fortinet dominates the cybersecurity infrastructure sector with its broad, integrated security solutions. It generates revenue primarily through FortiGate hardware and software licenses, spanning firewall, intrusion prevention, and multi-factor authentication. In 2026, Fortinet focuses strategically on expanding automated security services and enhancing network scalability for diverse industries including telecom and finance.
Rubrik, Inc.: Data Security Innovator
Rubrik specializes in enterprise data protection and cyber recovery solutions. Its revenue stems from cloud and SaaS data protection products, along with advanced threat analytics. The company’s 2026 strategy centers on reinforcing its data security posture and expanding services across financial, healthcare, and public sectors, emphasizing resilience against evolving cyber threats.
Strategic Collision: Similarities & Divergences
Both firms operate within software infrastructure but diverge sharply: Fortinet pursues a hardware-software integrated model, while Rubrik champions cloud-centric, data-focused security. Their competition unfolds primarily in the enterprise security domain, targeting overlapping yet distinct customer needs. Fortinet offers a robust, scalable ecosystem; Rubrik provides agile, cloud-native solutions—reflecting contrasting risk profiles and growth vectors for investors.
Income Statement Comparison
This data dissects the core profitability and scalability of both corporate engines to reveal who dominates the bottom line:
| Metric | Fortinet, Inc. (FTNT) | Rubrik, Inc. (RBRK) |
|---|---|---|
| Revenue | 6.8B | 887M |
| Cost of Revenue | 1.3B | 266M |
| Operating Expenses | 3.4B | 1.8B |
| Gross Profit | 5.5B | 621M |
| EBITDA | 2.4B | -1.1B |
| EBIT | 2.3B | -1.1B |
| Interest Expense | 20M | 41M |
| Net Income | 1.9B | -1.2B |
| EPS | 2.44 | -7.48 |
| Fiscal Year | 2025 | 2025 |
Income Statement Analysis: The Bottom-Line Duel
This income statement comparison reveals the true efficiency and profitability of Fortinet, Inc. and Rubrik, Inc. over recent years.
Fortinet, Inc. Analysis
Fortinet shows a strong revenue climb from 3.3B in 2021 to nearly 6.8B in 2025, doubling its top line. Net income surged 205% over this span to 1.85B in 2025. Gross margin remains robust above 80%, and net margin holds at a healthy 27%. The 2025 results highlight solid operational efficiency and expanding profitability despite a slight net margin dip.
Rubrik, Inc. Analysis
Rubrik’s revenue grew impressively by 41% in 2025 to 887M, building on a 129% rise since 2021. However, the company struggles with persistent losses, posting a net loss of -1.15B in 2025. Gross margin at 70% is decent but overshadowed by a steep negative EBIT margin near -125% and worsening net margin. The 2025 figures reflect ongoing operational inefficiency and deepening losses despite revenue growth.
Verdict: Profitability Dominance vs. Growth Challenges
Fortinet dominates with strong, consistent profit growth and high margins, showcasing operational excellence and scale. Rubrik, while growing revenues sharply, remains unprofitable with severe margin pressure and escalating losses. For investors prioritizing financial health and efficiency, Fortinet’s profile clearly outshines Rubrik’s high-growth but loss-heavy model.
Financial Ratios Comparison
These vital ratios act as a diagnostic tool to expose the underlying fiscal health, valuation premiums, and capital efficiency for each company analyzed:
| Ratios | Fortinet, Inc. (FTNT) | Rubrik, Inc. (RBRK) |
|---|---|---|
| ROE | 1.50 | 2.09 |
| ROIC | 0.29 | -2.35 |
| P/E | 32.48 | -9.79 |
| P/B | 48.64 | -20.42 |
| Current Ratio | 1.17 | 1.13 |
| Quick Ratio | 1.09 | 1.13 |
| D/E | 0.81 | -0.63 |
| Debt-to-Assets | 0.10 | 0.25 |
| Interest Coverage | 103.72 | -27.49 |
| Asset Turnover | 0.65 | 0.62 |
| Fixed Asset Turnover | 4.20 | 16.67 |
| Payout ratio | 0 | 0 |
| Dividend yield | 0 | 0 |
| Fiscal Year | 2025 | 2025 |
Efficiency & Valuation Duel: The Vital Signs
Financial ratios serve as a company’s DNA, uncovering hidden risks and operational strengths that shape investment decisions clearly and precisely.
Fortinet, Inc.
Fortinet demonstrates exceptional profitability with an ROE of 150% and a strong net margin of 27%. However, its valuation appears stretched, reflected in a high P/E of 32.5 and P/B of 48.6. The company returns no dividends, instead channeling cash into robust R&D, fueling growth and operational efficiency.
Rubrik, Inc.
Rubrik’s profitability profile is mixed: a favorable ROE of 209% contrasts with a deeply negative net margin and ROIC, signaling operational challenges. Its valuation metrics, including P/E and P/B, are negative but rated favorable due to accounting anomalies. The company pays no dividend, focusing heavily on R&D investments amid financial strain.
Profitability Strength vs. Valuation Ambiguity
Fortinet offers superior operational efficiency with proven profitability, though at a premium valuation. Rubrik shows potential through its ROE but suffers from fundamental profitability weaknesses and volatile cash flows. Investors prioritizing stable returns may lean toward Fortinet’s profile; those seeking growth amid risk might consider Rubrik’s aggressive reinvestment strategy.
Which one offers the Superior Shareholder Reward?
Fortinet and Rubrik both avoid dividends, focusing on growth reinvestment. Fortinet boasts robust free cash flow per share (~2.9 in 2025) and consistent buyback capacity backed by strong operating margins (~30%). Rubrik struggles with negative earnings and weak cash flow (~0.2 FCF per share), limiting buybacks. Fortinet’s capital allocation balances growth and shareholder return sustainably. Rubrik’s reinvestment is high-risk due to persistent losses and negative leverage. I conclude Fortinet offers a far superior total return profile in 2026.
Comparative Score Analysis: The Strategic Profile
The radar chart reveals the fundamental DNA and trade-offs of Fortinet, Inc. and Rubrik, Inc., highlighting their financial strengths and vulnerabilities:
Fortinet shows a balanced profile with strong ROE (5) and ROA (5), supported by a favorable discounted cash flow score (4). However, it carries significant financial risk with a very unfavorable debt-to-equity score (1) and weak valuation metrics (P/E at 2, P/B at 1). Rubrik relies heavily on its ROE strength (5) but struggles with asset efficiency (ROA at 1) and poor valuation and leverage metrics, all scoring at 1. Fortinet’s diversified strengths make it more resilient, while Rubrik depends on a single profitability edge.
Bankruptcy Risk: Solvency Showdown
Fortinet’s Altman Z-Score at 5.49 places it comfortably in the safe zone, signaling strong long-term solvency. Rubrik’s score of 0.64 lands in the distress zone, highlighting serious bankruptcy risk in this cycle:
Financial Health: Quality of Operations
Fortinet’s Piotroski F-Score of 6 indicates solid financial health with no glaring red flags. Rubrik’s score of 4 signals average operational quality with potential internal weaknesses compared to Fortinet:
How are the two companies positioned?
This section dissects Fortinet and Rubrik’s operational DNA by comparing their revenue distribution and internal dynamics. The goal is to confront their economic moats to identify which model delivers the most resilient and sustainable competitive advantage today.
Revenue Segmentation: The Strategic Mix
The following comparison dissects how Fortinet and Rubrik diversify their income streams and highlights their primary sector bets:
Fortinet’s 2024 revenue spreads across Product ($1.9B), Security Subscription ($2.3B), and Technical Support ($1.7B), showing a balanced mix. Rubrik leans heavily on Subscription and Circulation ($829M), dwarfing its Maintenance ($18M) and Other ($44M) segments. Fortinet’s diversified base anchors its ecosystem lock-in, reducing concentration risk. Rubrik’s reliance on subscriptions signals dependence on recurring revenue but poses vulnerability if customer retention falters.
Strengths and Weaknesses Comparison
This table compares the Strengths and Weaknesses of Fortinet and Rubrik based on diversification, profitability, financials, innovation, global presence, and market share:
Fortinet Strengths
- Diverse revenue streams across products, subscriptions, and support
- Strong profitability with 27.3% net margin and 149.8% ROE
- Favorable ROIC at 28.8% exceeding WACC
- Global presence with balanced revenue from Americas, EMEA, and Asia Pacific
- Solid asset turnover and interest coverage ratios
Rubrik Strengths
- Favorable WACC at 5.5%, indicating low capital cost
- Positive ROE of 208.6% despite other losses
- High fixed asset turnover at 16.7, showing efficient asset use
- Global reach with significant Americas and EMEA revenue
- Favorable price-to-earnings and price-to-book ratios
Fortinet Weaknesses
- High price-to-book ratio at 48.6 signals potential overvaluation
- Price-to-earnings ratio of 32.5 is unfavorable versus industry norms
- No dividend yield impacts income-focused investors
- Moderate current ratio at 1.17 limits liquidity comfort
- Neutral debt-to-equity ratio at 0.81
Rubrik Weaknesses
- Negative net margin at -130.3% reflects heavy losses
- Unfavorable ROIC at -234.9% below WACC signals poor capital returns
- Negative interest coverage ratio indicates risk of debt servicing
- No dividend yield, limiting shareholder cash return
- Higher debt-to-assets ratio at 24.7% increases financial leverage
Fortinet’s balanced profitability and diversified revenue fuel its global strength, but valuation metrics warrant caution. Rubrik shows operational challenges with losses and leverage despite efficient asset use and a favorable cost of capital, highlighting strategic areas needing improvement.
The Moat Duel: Analyzing Competitive Defensibility
A structural moat protects long-term profits from competitive erosion. Without it, market share and pricing power quickly erode:
Fortinet, Inc.: Integrated Cybersecurity Moat
Fortinet leverages a broad, integrated cybersecurity platform creating high switching costs. Its 33.4% EBIT margin and growing ROIC confirm durable value creation. Expansion in cloud and AI-driven security deepens its moat in 2026.
Rubrik, Inc.: Emerging Cloud Data Protection Moat
Rubrik’s moat centers on innovative cloud-native data protection, contrasting Fortinet’s scale advantage. However, its negative EBIT margin and shrinking ROIC reveal fragile profitability. Scalability and market penetration remain key growth levers.
Moat Strength: Scale & Integration vs. Innovation & Growth Potential
Fortinet’s wider, sustainable moat beats Rubrik’s nascent, unprofitable positioning. Fortinet’s proven capital efficiency and margin stability better defend market share amid intensifying competition. Rubrik must improve profitability to solidify its moat.
Which stock offers better returns?
The past year saw Fortinet and Rubrik both rise sharply before slowing. Fortinet’s steady climb contrasts with Rubrik’s volatile surge and recent sharp decline.
Trend Comparison
Fortinet’s stock gained 24.04% over the past 12 months, indicating a bullish but decelerating trend. Prices ranged from 56.51 to 111.64, with moderate volatility (15.07 std dev).
Rubrik’s stock rose 34.39% over 12 months, also bullish with deceleration. It showed higher volatility (21.1 std dev) and a wider price range, 28.65 to 97.91, but fell 23.31% recently.
Rubrik outperformed Fortinet overall but suffered a steep recent drop. Fortinet’s trend remains more stable and less volatile in comparison.
Target Prices
Analyst consensus shows confident upside potential for both Fortinet, Inc. and Rubrik, Inc.
| Company | Target Low | Target High | Consensus |
|---|---|---|---|
| Fortinet, Inc. | 70 | 90 | 85 |
| Rubrik, Inc. | 105 | 113 | 109.33 |
Fortinet’s target consensus at 85 slightly exceeds its current price of 82.76, signaling moderate upside. Rubrik’s consensus target near 109 suggests substantial growth from its 51.07 market price.
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How do institutions grade them?
Fortinet, Inc. Grades
The table below summarizes recent institutional grades for Fortinet, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Rosenblatt | Maintain | Buy | 2026-02-06 |
| Mizuho | Maintain | Underperform | 2026-02-06 |
| JP Morgan | Maintain | Underweight | 2026-02-06 |
| RBC Capital | Maintain | Sector Perform | 2026-02-06 |
| Wedbush | Maintain | Outperform | 2026-02-06 |
| Scotiabank | Downgrade | Sector Perform | 2026-02-02 |
| JP Morgan | Maintain | Underweight | 2026-01-30 |
| Rosenblatt | Upgrade | Buy | 2026-01-29 |
| TD Cowen | Upgrade | Buy | 2026-01-23 |
| Citigroup | Maintain | Neutral | 2026-01-13 |
Rubrik, Inc. Grades
The table below summarizes recent institutional grades for Rubrik, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Keybanc | Maintain | Overweight | 2026-01-12 |
| Piper Sandler | Maintain | Overweight | 2026-01-05 |
| Citigroup | Maintain | Buy | 2025-12-08 |
| BMO Capital | Maintain | Outperform | 2025-12-05 |
| Baird | Maintain | Outperform | 2025-12-05 |
| William Blair | Upgrade | Outperform | 2025-12-05 |
| Rosenblatt | Maintain | Buy | 2025-12-05 |
| Keybanc | Maintain | Overweight | 2025-12-05 |
| Piper Sandler | Maintain | Overweight | 2025-12-05 |
| Wedbush | Maintain | Outperform | 2025-12-05 |
Which company has the best grades?
Rubrik, Inc. holds consistently higher grades, including multiple Outperform and Overweight ratings. Fortinet’s grades are more mixed, ranging from Buy to Underperform. Investors may view Rubrik’s stronger consensus as a positive signal.
Risks specific to each company
The following categories identify the critical pressure points and systemic threats facing both Fortinet, Inc. and Rubrik, Inc. in the 2026 market environment:
1. Market & Competition
Fortinet, Inc.
- Established cybersecurity leader with broad integrated solutions and strong channel partnerships, but faces intense competition in software infrastructure.
Rubrik, Inc.
- Emerging player focused on data security with growing market share but pressured by larger incumbents and evolving customer demands.
2. Capital Structure & Debt
Fortinet, Inc.
- Moderate debt-to-equity (0.81) with favorable interest coverage (113x) signals sound leverage control.
Rubrik, Inc.
- Negative debt-to-equity ratio and poor interest coverage (-26.8) indicate financial distress and weak capital structure.
3. Stock Volatility
Fortinet, Inc.
- Beta near 1.05 suggests market-correlated volatility, typical for mature tech firms.
Rubrik, Inc.
- Low beta (0.32) implies limited volatility, possibly due to lower liquidity or market skepticism.
4. Regulatory & Legal
Fortinet, Inc.
- Operates globally with exposure to cybersecurity regulations, requiring constant compliance and adaptability.
Rubrik, Inc.
- Also subject to data protection laws worldwide but less diversified, making regulatory shifts more impactful.
5. Supply Chain & Operations
Fortinet, Inc.
- Extensive hardware and software portfolio demands complex supply chain management with potential operational risks.
Rubrik, Inc.
- Focus on software-centric solutions reduces supply chain complexity but increases reliance on cloud infrastructure stability.
6. ESG & Climate Transition
Fortinet, Inc.
- Larger size implies greater ESG scrutiny; must manage energy use and data privacy responsibly.
Rubrik, Inc.
- Smaller scale but growing; ESG efforts critical to attract enterprise clients and investors focused on sustainability.
7. Geopolitical Exposure
Fortinet, Inc.
- Global presence in sensitive sectors like government and financial services heightens geopolitical risk.
Rubrik, Inc.
- More concentrated operations in the US may limit geopolitical risk but restrict international growth opportunities.
Which company shows a better risk-adjusted profile?
Fortinet faces competitive pressure and operational complexity but demonstrates strong financial stability and favorable leverage metrics. Rubrik suffers from severe financial distress signals, notably poor capital structure and bankruptcy risk (Altman Z-Score in distress zone). Rubrik’s lower volatility masks fundamental weaknesses. Fortinet’s favorable cash flow and strong interest coverage position it better to weather market and regulatory challenges. The key risk for Fortinet is rising competition, while Rubrik’s existential risk lies in its fragile financial health and capital structure. This fundamental disparity justifies a cautious stance on Rubrik despite its growth potential.
Final Verdict: Which stock to choose?
Fortinet, Inc. wields unmatched operational efficiency and a robust economic moat, evidenced by a growing ROIC well above its cost of capital. Its ability to generate strong free cash flow and maintain high profitability makes it a cash machine. The point of vigilance lies in its relatively elevated valuation multiples, which could temper near-term upside. Fortinet suits aggressive growth portfolios seeking durable competitive advantages.
Rubrik, Inc. offers a strategic moat anchored in innovation and rapid revenue growth, supported by recurring revenue potential. While it shows favorable debt metrics and a lower cost of capital, its inconsistent profitability and declining ROIC raise caution flags. Compared to Fortinet, Rubrik carries higher execution risk but could appeal to investors with higher risk tolerance favoring potential turnaround stories or early-stage growth plays.
If you prioritize sustainable value creation and financial stability, Fortinet outshines as the compelling choice due to its proven profitability and strong moat. However, if you seek high-growth exposure with a tolerance for volatility and operational risks, Rubrik offers superior top-line momentum and innovation potential. Both represent distinct strategic scenarios aligned with different investor risk profiles.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Fortinet, Inc. and Rubrik, Inc. to enhance your investment decisions:
